CISA predicts China’s dependence on iron ore import to fall gradually
May 30, 2008
May 29 (Chinamining.org) – China’s import of iron ore will continue to maintain high growth, but the growth will slow down, predicted by Feng Shuijun, deputy manager of China Iron and Steel Trade Company under the flag of China’s second iron ore trader China Iron and Steel Group.
Feng said that in a long-run, the imported iron ore will account for 50 percent of the total demand and China’s dependence on the imported iron ore will gradually decline amid the increase of domestic iron ore output.
Feng made the remark at the 2 International Meeting on China Steel-making Raw Materials and Steels, adding that China’s iron ore output will keep growing in the coming period.
He predicted that the iron ore output will grow at least 12 percent in 2008 reaching 792 million tons, up 85 million tons year-on-year and the crude steel output growth will drop to less than ten percent in 2008 after reaching 27 percent in 2005.
With the fast development of domestic mining industry and the expansion of the production capacity of overseas iron ore suppliers, the conflicts between supply and demand of iron ore in China will be eased.
China imported 383 million tons of iron ore in 2007 with dependence on overseas market exceeding 50 percent.